Page 254 - DCOM404_CORPORATE_LEGAL_FRAMEWORK

Unit 11: Trade Union Act, 1926

The usual methods used to determine union strength, which is the basis for recognition are the Notes
following:
1. Election by Secret Ballot: Under this system, all eligible workers of an establishment
may vote for their chosen union and the elections are to be conducted by a neutral agent,
generally the Registrar of Unions, in a manner very similar to the conduct of general
elections. Once held, the results of the elections would remain valid for a minimum period,
usually for two years.
2. Check-off Method: Under this each individual worker authorises management in writing
to deduct union fees from his wages and credit these to the chosen union. This gives
management concrete evidence about the respective strengths of the unions. But the
system is also prone to manipulation, particularly collusion between management and a
favoured union. Sometimes, genuine mistakes may occur, particularly when the number of
employees are large. It also depends on all unions accepting the method and cooperating
in its implementation.
3. Verifi cation of the union membership method by the labour directorate has been adopted
as for a resolution in the session of the ILC and is used widely in many establishments.
This process is carried out by the labour directorate, which on the invitation of the union
and the management of an organisation or industry, collects particulars of all unions in
a plant with regard to their registration and membership. The claim lists of the unions,
their fees books, membership records and accounts books are scrutinised for duplicate
membership. Under a later amendment, unions also made lists of members in order to
avoid dual membership. After cross-checking of records, physical sampling of workers,
particularly in cases of doubt or duplication, a fi nal verified list is prepared for employers,

unions and the government.
4. Rule of Thumb or intelligent guessing by management or general observation to assess
the union strength, either by the response at gate meetings, strikes or discussions with
employees. This is not a reliable method, particularly in large establishments and can also
be subject to change at short intervals.

Of the above methods, the first one is an universally accepted method used all over the world but
there has been no consensus among the trade unions on that in India.

Did u know? The Second National Commission of Labour (2003) considered the issues
seriously and made the following recommendations:

1. We recommend that the negotiating agent should be selected for recognition on the
basis of the check off system. A union with 66% membership is entitled to be accepted
as the single negotiating agent, and if no union has 66% support, then, union that has
the support of more than 25% should be given proportionate representation on the
negotiating table.
2. Secret ballot is logically and financially a difficult process in certain industries. Check-

off system has the advantage of ascertaining the relative strength of trade unions.
Check-off system should be made compulsory for all establishments employing
300 or more workers. For establishments employing less than 300 workers also, the
check-off system would be the preferred mode. Recognition, once granted, should be
valid for a period of four years, to be coterminous with the period of settlement.

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